Do we need a capital works or sinking fund plan?
Flatflo editorial team · Last reviewed 2026-10-20
Quick answer
Most states require a long-term plan for major repairs, often covering at least ten years, and review it regularly. The plan estimates future costs so levies can build up the fund gradually instead of relying on special levies.
The full answer
A professional report is common for larger buildings. Smaller buildings may prepare simpler plans, depending on state rules.
General information only, not legal advice. Strata rules differ between states and change over time; check your state's law or get advice for your situation. Last reviewed 2026-10-20.
Related questions
Who pays for repairs: the owners corporation or the owner?Generally the owners corporation repairs and maintains common property, and each owner looks after their own lot. Where the boundary sits depends on your strata plan, by-laws and state law. Check the plan before agreeing who pays.How many quotes should we get for strata work?Getting at least two or three quotes for larger jobs is good practice and helps show owners the committee chose fairly. Some states set rules for quotes above certain amounts. Record why a contractor was chosen.How much can the committee spend without a general meeting?Committees can usually approve spending within the approved budget, but some states limit what a committee can spend on a single item without a general meeting. Your building can also set its own lower limits. Check your state's rules and by-laws.What happens with urgent repairs?For genuine emergencies, such as a burst pipe or storm damage, the committee or a delegated person can usually act quickly to make things safe, then report back. Limit urgent work to what's needed and record the decision.How do we choose and check contractors?Check the contractor holds the right licence for the work and current public liability and, where relevant, workers' compensation insurance. Ask for references, get written quotes and agree scope and price before work starts.